Another safety trade?!/Informative company comments/Yen at big level again

I've mentioned the new safety trades are gold, energy and short term Treasuries but I need to add Blackstone's BREIT real estate product. After rising 3.6% in 2022 its net asset value is up another 3.3% year to date through September. Their largest investment is in rental housing, which includes student housing. Industrial is 25% with data centers, triple net lease, office, hospitality, retail and self storage making up the balance. In contrast, its publicly traded competition have stocks that have gotten crushed. AvalonBay Communities is down 32% since December 31st 2021 right before the monetary tightening was about to begin. Equity Residential is lower by 35% and Camden Property Trust is weaker by 47%. Prologis, the largest publicly traded industrial reit is lower by 39%. These figures don't include dividends. There aren't any student housing publicly traded reit's anymore after BREIT bought American Campus Communities a few years ago. BREIT continues to pull off some magic I say with its valuation marks. 

Let's dive right into some important earnings reports and the notable things that were said. 

From Discover Financial, whose stock was down 8% yesterday, "Total net charge-offs were 3.52%, 181 bps higher than the prior year and up 30 bps from the prior quarter. In card, we continue to see the effects of seasoning of newer accounts, which have higher delinquency rates than older vintages. Losses remain consistent with targeted ranges." They raised their loan loss provision by 22 bps to just over 7%, "The reserve increase reflects a modest deteriorating macroeconomic outlook, increasing delinquencies, and higher loan balances. Our macro assumptions reflect a relatively strong labor market, but also consumer headwinds from declining savings rates and increasing debt burdens."

Here was their thought process on the rise in loss reserves where 50% reflected the rise in loan balances and the other 50% reflected their view on the macro, "while the unemployment numbers remain relatively in line and strong by historical standards, we are seeing some indications of stress. And if we go back to the pandemic and the learnings there, we found that certainly unemployment remains an important factor in terms of reserves, but there's other factors. And what we've done over the past year is try to build into those other factors into our loss models and reserve models, and we've done that. So as we took a look at household net worth and savings rate, both have deteriorated. And we're seeing deterioration more specifically in lower FICO bands."